A recent report by the Centers for Medicare & Medicaid Services found that recovery audit contractors (RACs) recouped $237.8 million in the six-month period that ended in March, according to The Hill.
RACs review claims data for errors such as incorrect billing, coding mistakes, and overpayments to hospitals, doctors, and other providers. According to Fierce Health Finance, the average RAC audit recovered $398 on an outpatient claim and $5,200 on an inpatient claim.
Delaware Democratic senator Tom Carper, chairman of the Subcommittee on Federal Financial Management, told The Hill that the amount of money recovered this year has already surpassed last year's total by more than three times.
"This is important progress, but more needs to be done," said Carper. "Recent estimates put the total number of Medicare improper payments at a staggering $47.9 billion annually. That's a lot of money, especially as we struggle with a massive federal deficit."
According to Becker's Hospital Review, RACs have collected nearly $218 million in overpayments since they began using automated reviews in 2009.